China: International Financial Reporting Standards and Accounting Standards Essay

Submitted By Kirkuk91
Words: 369
Pages: 2


International harmonisation
The Australian financial reporting standards are based on the International Financial Reporting Standards (IFRS) issued by the International Accounting Standards Board (IASB) following our implementation of international harmonisation in 2005. Australian standards are, for the most part, identical with their IFRS counterparts – with some modifications that address specific not-for-profit and jurisdictional issues. These amendments are clearly identified in each standard with the use of AUS paragraphs.
International harmonisation means that much of standard-setting work worldwide is now done by the IASB – with support from national standard-setters (e.g. AASB). However, the AASB also maintains its standard-setting powers over matters specifically affecting Australia. For more details on the standard setting processes of these boards, visit the AASB website and theIASB website. China On 15 February 2006, China's Ministry of Finance issued a set of new Chinese Accounting Standards that are substantially in line with IFRSs and will come into effect on 1 January 2007. Listed companies must adequately prepare themselves for the adoption of these new standards that will bring significant changes to their existing financial reporting and corporate accounting system.

Including a foreword by IASB Chairman Sir David Tweedie, this publication compares IFRSs with the current Chinese Accounting Standards effective for 2006 and earlier, and the new standards that will be effective in 2007 for listed companies * Who